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Opening a Corporate Bank Account in China: A Practical Guide for Foreign Founders

A practical, plain-English guide for foreign founders on opening a corporate bank account in mainland China: account types, documentation, bank selection, timelines, common delays, and post-opening compliance. General information only, not legal or tax advice.

Opening a corporate bank account is one of the first genuinely practical milestones for any foreign founder setting up in mainland China — and one of the most commonly underestimated. Unlike in many home markets, where a founder can walk into a bank and open a business account in an afternoon, the Chinese process is shaped by foreign-exchange rules, anti-money-laundering (AML) checks, and the fact that most banks treat foreign-invested entities with extra scrutiny. None of this is insurmountable, but it rewards preparation.

This article is general information for planning purposes. It is not legal, tax, accounting, or regulatory advice, and bank practices vary by city, bank, and branch. Always confirm requirements directly with your chosen bank and with qualified local advisers.

Why the account matters more than you might expect

A corporate RMB account is the operational backbone of a China entity. It is where registered capital is paid in, where customers remit payments, where you pay staff and suppliers, and through which you handle tax and social insurance obligations. Without it, the business cannot really function. It is also one of the documents counterparties, landlords, and platforms will ask for before they treat you as a legitimate operating company.

Two structural features catch foreign founders off guard. First, most China entities need more than one account: a basic account (基本户) and one or more general accounts (一般户). Second, cross-border money movement — capital contributions, repatriation of profits, payment of invoices to overseas affiliates — runs through foreign-currency and cross-border rules that the bank will administer on your behalf. A bank relationship is therefore also a compliance relationship.

The account types you will encounter

Basic account (基本户)

This is the primary account. A company can have only one basic account, and it is the account from which cash withdrawals are permitted. It is typically the account used for payroll, tax payments, and day-to-day operations. Opening it usually requires the company to be fully registered and to have its business licence and official seals in hand.

General account (一般户)

A company may open multiple general accounts, for example with different banks or for specific purposes such as receiving customer payments or holding project funds. General accounts generally cannot be used for cash withdrawals. Many companies open a general account at a second bank to diversify service and to access better digital tools.

Foreign-currency and capital accounts

Foreign-invested enterprises typically also need a foreign-currency capital account for inbound registered capital and a foreign-currency settlement account for converting and holding foreign exchange. These accounts are more tightly regulated and usually require the bank’s international or transaction-banking team to be involved. Expect additional documentation and a longer review.

Special-purpose accounts

Depending on your business, you may also encounter accounts for tax withholding, social insurance, or specific regulated activities. Your accountant or bank relationship manager can tell you which apply.

Documents you should have ready

Requirements differ by bank and city, but foreign founders should generally prepare a complete, consistent set of documents:

Consistency matters. Names, addresses, and shareholding percentages should match across the business licence, articles, and bank forms. Small discrepancies are a frequent cause of delay.

Choosing a bank

Foreign founders generally choose between large Chinese banks with extensive branch networks, joint-stock commercial banks, and the China-based branches of international banks. Each has trade-offs.

Ask candidly about English-language support, digital banking for foreign passport holders, cross-border payment capabilities, fee schedules, and whether the branch has experience opening accounts for foreign-invested companies. A good relationship manager is often the single biggest factor in how smooth the process is.

What the process looks like

The sequence usually runs roughly as follows:

Timelines vary widely — from a couple of weeks to significantly longer for foreign-invested entities or complex ownership structures. Treat the account opening as a project with a buffer, not a same-week task.

Common reasons applications stall

Pre-empting these issues with a clean document pack and a clear business narrative saves considerable time.

After the account is open

Opening the account is the start, not the end. Keep records of signatories and authorisations up to date, and inform the bank promptly of changes to directors, legal representatives, or ownership. Understand the reporting obligations attached to cross-border transactions, and work with your accountant on foreign-exchange registrations and periodic filings. Many companies also benefit from maintaining relationships with two banks, so that a service issue at one does not halt operations.

Finally, treat your bank as a compliance partner rather than a utility. Clear communication about expected transactions, counterparties, and funding sources reduces friction and helps the relationship run smoothly as your China business grows.

This article provides general information only and does not constitute legal, tax, accounting, or regulatory advice. Requirements vary by bank, city, and company structure; consult qualified local professionals and your chosen bank before acting.

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This page is general information for founders and is not legal, tax or investment advice. Requirements vary by city and change over time. Consult qualified local advisers before acting.